BURMA: FMI Air halts flights

Advert Travel Gazette

– One more Myanmar’s domestic airline, the FMI Air, has announced temporary suspension of both its scheduled and chartered flight services to pave way for reorganization, the official Global New Light of Myanmar reported Sunday.

The FMI Air’s announcement has brought the total number of private airlines to a standstill to three.

The airline’s move will affect 134 employees but it pledged to give them option to transfer to another business operation under the group with severance pay in line with the country’s existing labor law, the report said.

According to the airline, it will also refund fares to its passengers with their reservation for scheduled flight after July 20 but there remains one chartered flight operation on July 23 after which all chartered flights will also be temporarily suspended.

Chairman of FMI Air U Thein Wai said the flight suspension will make way for carrying out a thorough restructuring of the airline as well as to create an operational model capable of delivering future success in light of increasingly challenges in the aviation sector in the country, adding that the airline may resume operation at a future date, subject to reorganization and market condition.

FMI Air was established as FMI Air Charter in 2012 to offer the first flight service between Yangon and Nay Pyi Taw.

In 2015, the airline added scheduled flight serving other domestic destinations such as Dawei, Myeik, Kawthoung and Thandwe.

Earlier this month, Myanmar’s two other domestic airlines, Air Bagan and Apex, had also announced halt of their services, surrendering their air operator’s certificates (AOC) to the authorities, local media reported, adding that shortage of aircrafts and economic loss forced the domestic airlines to stop their operations.

In accordance with Myanmar Aviation Act, the airlines will be allowed to apply the AOCs when they have enough aircraft to resume flight.

The Air Bagan started their services for 20 domestic routes in 2012 and the Apex Airlines started running for five domestic trips in 2015.

There are a total of 10 domestic airlines running with about 40 aircrafts in the country.